Based on the information given below, prepare the Statement of Cash Flows for Clay Company for the year ended December 31, 2019, using the indirect method.
Additional information about transactions that occured during 2019:
- Plant assets costing $98,000 were purchased by paying $48,000 in cash and issuing 5,000 shares of stock.
- Income taxes of $43,000 were paid in full.
- In order to supplement cash, Clay Company issued 4,000 shares of common stock at par value.
- Cash dividends of $105,000 were declared and paid at the end of the fiscal year.
Extracted text: Based on the information given below, prepare the Statement of Cash Elows for Clay Company for the year ended December 31, 2019, using the indirect method. Clay Company Comparative Balance Sheets. 31/12/2019 31/12/2018 $ 33,250 $ 20,000 Cash Accounts receivable 80,000 58,000 Inventory 210,000 250,000 Prepaid expenses 9,000 7,000 Plant assets 600,000 502,000 Accumulated depreciation (150,000) (125,000) Total assets $ 782,250 $ 712,000 Accounts payable $ 123,000 $ 115,000 Salaries pavable 47,250 72,000 Loterest payable 27,000 25,000 Bonds pavable 70,000 100,000 Common stock, $ 10 par 370,000 280,000 Betained earnings 145,000 120,000 Tot. liabilities and stockholders'ea. $ 782,250 $ 712,000 Additional information about transactions that occured during 2019: 1. Plant assets costing $98,000 were purchased by paving $48,000 in cash and issuing 5,000 shares of stock. 2. Income taxes of $43,000 were paid in full. 3. In order to supplement cash, Clay Company issued 4,000 shares of common stock at par value. 4. Cash dividends of $105,000 were declared and paid at the end of the fiscal vear.